NEWS

Spring Forward
(Posted 9th March 2010)

It’s not only the clocks that go forward soon. It’s time for us all to take the bull by the horns and move things forward for ourselves. Well, it’s sure we are not going to get much help from this moribund government and perhaps not much will change after the election.

Do not believe what you see on the TV or in the newspapers. Do you remember the headlines from Easter 2007 – "House prices to rise by 10% per annum over the next four years." It was not possible to be more wrong, a bit like that famous weather forecast.

So, make up your own mind now. My guess is that we have an export lead recovery, inflation of at least 3 percent this year and interest rates of 2 percent by the end of the year. The stock market looks like passing the 6000 mark, but what do I know?

As of now, you should have finished your pre 5th April 2010 tax planning. I do hope so. How else can you make £10,100 tax free than by using up your CGT nil rate band, and have you re-evaluated pension contributions to get the relief in this year (or next year at 50%, because that will be your last, unless the law changes).

Can I ask a question of my friends in HMRC – “Why have my tax affairs been moved from St. Austell, to Bristol, to South London, and now to Leicester, all in the space of 12 months?" Hey ho, all in pursuit of efficiency I expect, but is dead confusing for me.

So, dust yourselves off and spring forward, my friends. Ignore the doubters, the time has come, the recovery starts here, and starts now. Oh, by the way, do you know why it is more tax efficient to repay capital borrowings via a limited company?